N0003022C2027 AZDEMA JA Redacted.pdf

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Attached to
NAVY Trident II D5 Rocket Motor Storage Federal contract opportunity
Solicitation number
122AZDEMA
Issued by
Department of the Navy Strategic Systems Programs

About this file

This justification and approval document seeks approval to enter into a sole source contract with the Arizona Department of Emergency and Military Affairs to provide rocket motor storage and handling services at Camp Navajo, Arizona for the Navy's Strategic Systems Program. The services include receipt, storage, and shipment of large diameter rocket motors and storage of classified and unclassified materials. The base period of performance is from 1 October 2021 through 30 September 2022 with four one-year option periods. The estimated value is $8.357 million for the base year funded by operations and maintenance funds. The justification cites 10 U.S.C. 2304(c)(1) as the authority for a sole source award since AZDEMA is the only supplier with facilities and trained personnel to safely store and handle these large rocket motors to meet Navy requirements, including for New START inspections. Market research found no other suitable storage facilities.

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DEPARTMENT OF THE NAVY

DIRECTOR, STRATEGIC SYSTEMS PROGRAMS

1250 10TH STREET SE, SUITE 3600

WASHINGTON NA VY YARD, DC 20374-5127

JUSTIFICATION AND APPROVAL (J&A)

J&A NOsp 21,034 Code: SPN205

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity: Strategic Systems Programs (SSP).

2. Description of the Action Being Approved

a. This J&A seeks the approval to procure Fiscal Year (FY) 22 Rocket Motor Storage and Handling at Camp Navajo, AZ using other than full and open competition. This procurement is pursuant to 31 U.S.C. § 6303, which authorizes U.S. Government components to enter into contracts with State Government entities.

b. The State Government entity providing services to SSP is:

Arizona Department of Emergency & Military Affairs (AZDEMA) 5636 E. McDowell Road Phoenix, AZ 85008

3. Description of Supplies/Services

a. AZDEMA will provide ammunition storage facilities and handling services for rocket motors from I October through 30 September 2026. AZDEMA will also provide storage of classified and unclassified materials. The proposed contract will contain one base year and four

(4) one-year option periods.

b. The table below details the estimated dollar value and appropriations for this effort.

Estimated Dollar Value ($M)

FY22 FY23 FY24 FY25 FY26 TOTAL

O&MN 8.357 8.461 8.875 8.956 8.961 43.256

4. Statutory Authority Permitting Other than Full and Open Competition. The statutory authority for this effort is 10 U.S.C. 2304 (c)(l). There is only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority. This is a follow-on effort for AZDEMA to provide ammunition storage facilities and handling services for large diameter rocket motors. AZDEMA is the only source that has been determined to have adequate surplus ammunition storage igloos appropriate for the storage of this type of equipment. After conducting market research detailed in paragraph 6 below, SSP knows of no other facilities able to house this type of rocket motors in the United States. Further, the most recent cost estimate of

J&A NOsp 21,034 Code: SPN205 constructing new ammunition storage facilities at SWFLANT and SWFPAC is approximately $260M. Should an alternate storage facility be identified, SSP estimates it would require 18 months to 2 years to duplicate the AZDEMA crew training and expertise required to safely handle large diameter rocket motors. AZDEMA provides uniquely specialized trained and certified personnel to perform receipt, storage, shipment, and care of large diameter rocket motors. AZDEMA employs an experienced crew with more than 20 years of experience handling large diameter rocket motors. They also have experience providing specialized technical services in support of the New START inspection requirements for Navy missile programs. Other functions performed by AZDEMA include: security, fire, safety, facility engineering, rail crew, vehicle maintenance, logistics, shipping, explosive safety, environmental monitoring, intrusion detection, documentation, training, quality control, and oversight. These combined services are not otherwise available either commercially or within the Department of Defense (DoD).

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable. SSP's SP27 Branch personnel conducted in-depth market research, including internet queries on the Navy Real Property Database and site visits to Strategic Weapons Facility Atlantic (SWFLANT), Strategic Weapons Facility Pacific (SWFPAC), Tooele Army Ammunition Depot, Hill Air Force Base, Lockheed Martin, and Northrup Grumman sites. Additionally, knowledgeable individuals in the government, specifically the USAF Space and Missile Command, were contacted to inquire about their command's rocket motor storage capabilities.

As a result of these research efforts, SP27 was unable to identify any rocket motor storage facilities with available surplus capacity and trained/certified crew which could perform this effort and meet all Navy requirements. Finally, SSP posted a Sources Sought Notice in accordance with the Federal Acquisition Regulation to beta.Sam.gov (formerly FedBizOps) on 7 January 2021. However, no new responses were received.

7. Determination of Fair and Reasonable Cost

a. The FY22 AZDEMA Motor Storage and Handling effort will be a cost-reimbursable fixed fee (CPFF) contract. The Contracting Officer will utilize various methods and analyses to determine the cost to the Government for the services covered by this J&A will be fair and reasonable. These include but are not limited to thorough technical analysis of proposed hours by Government subject matter experts and cost and price analyses.

b. Based on the above, the Contracting Officer has determined that the anticipated cost to the Government of the supplies and services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition. For the reasons set forth in Paragraph 5, SSP has no plans at this time to compete future contracts for the types of services covered by this document. If another potential source emerges, SSP will assess whether competition for future requirements is feasible.

cm1IFIC A TIO NS AND APPROVAL

1EC HNICAL/REQUJREMENTS cm TIFIC ATION

J&A NOsp 21,034 Code: SPN205

I certify that the facts and representations under my cognizance which are included in this Justification and its supporting acquisition planning docwnents, exceptasnotedherein,arecompleteand accurate to the best of my knowledge and belief.

Technical Cognizance:

Signature Name (Printed) Phone No. Date

Requirements Cognizance:

Signature Name (Printed) Phone No. Date

LEGAL SUFFICIENCY REVIEW

I have determined this Justification is legally sufficient.

Signature Name(Printed) Phone No. Date

CON1RACTINGOFFICm CmTIFICATION I certify that this Justification is accurate and complete to the best of my knowledge and belief.

Signature Name (Printed) Phone No. Date

RedactedRedactedRedactedR

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SPN208

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COMPETITION ADVOCATE

Signature Name (Printed) Phone No. Date

J&A NOsp 21,034 Code: SPN205

SP-00TECHNICALANDREQUIREMEN'IS CER11FICATION(FAR6.303-2(b}) I certify that the facts and representation under my cognizance which are included in this Class Justification are complete and

Date

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